OJSC Atomredmetzoloto (Russia) acquires a controlling interest in Uranium One Inc.

/IRBIS, June 9, 2010/ - OJSC Atomredmetzoloto (Armz), the mining division of the state corporation Rosatom, agreed to bring its shareholding in the registered Canadian uranium mining company Uranium One to the test by buying the additional issue of 356 million shares of common stock reported June 8 press office Armz. As payment for this package OJSC "Atomredmetzoloto" contributes 50% stake in JV Akbastau, 49.7% stake in JV Zarechnoye located in Kazakhstan, as well as $610 million in cash. After closing the transaction belongs Armz share in the equity of Uranium One will be at least 51% against 23.1% for the current moment. "As a result of redemption of additional issue of OJSC Atomredmetzoloto becomes the controlling shareholder of one of the largest uranium mining companies with lower average operating cost of production (less than $40 per kg of uranium)," - said in a statement Armz. After the transaction of board members Uranium One will be reduced from 13 to nine members, of whom five are independent. Armz appoint a board of directors of three of its representatives and to propose two nominees of independent directors. Chairman and CEO of Uranium One Ian Telfer and Jean Norte continue to work at these positions. At this stage, the deal requires obtaining approval from the regulatory agencies of several countries: the Ministry of Industry and new technologies for the Republic of Kazakhstan Republic of Kazakhstan Agency for Protection of Competition, Ministry of Industry Canada; Regulatory Commission, Australia's Foreign Investment (Foreign Investment Review Board, FIRB); Committee Foreign Investment USA, and many others. At Armz expect permits and approvals of regulatory authorities required for the closing of the transaction will be received no later than the 4th quarter of this year. "Developments in the Republic of Kazakhstan, where a strategic partner Atomredmetzoloto acts of NAC Kazatomprom, is one of the priorities Armz. I am sure, gain control of Uranium One will allow corporation Rosatom to strengthen mutually beneficial cooperation with Kazakhstan and to identify promising new areas of cooperation "- commented the transaction Mr. Vadim Zhivov Director General Uranium Holding Armz. Today "State Corporation "Rosatom" is actively increasing its presence in the world and ranks first in the world in terms of both constructed nuclear power plants abroad, provides 40% of the world market for uranium enrichment and 17% of the nuclear fuel market. Forming a portfolio of assets in the area will uranodobychi contribute to resource maintenance of uranium mining enterprises of the nuclear industry ", - stated in the press-service. 80.345% of shares Atomredmetzoloto "belong to the State Atomic Energy Corporation Rosatom. Uranium One owns 70% stake in the mine "Akdala" and Inca, 50% in the mine "Tau" and 30% interest in the mine Harasan in Kazakhstan, near the uranium assets in the U.S. and Australia (including 51% interest in mine is being built "Honeymoon" in Australia). JSC JV Akbastau is located in Sozak region of South Kazakhstan Region, Kazakhstan. Created based in 2006 to develop three unitization places Budenovsky. Enterprise on an equal footing owned JSC Kazatomprom and Uranium Holding Armz. In 2009, the JV Akbastau "produced 390.4 tons of uranium. The design capacity is 3 thousand tons of uranium a year. SC JV Zarechnoye is located in Otrar district of South Kazakhstan Oblast, Kazakhstan. Enterprise at parity own NAC KazAtomProm and Uranium Holding Armz. Conducts field development Zarechnoye and South Zarechnoye. In 2009, the JV Zarechnoye produced 494 tons of uranium. The designed capacity of the company - up to 2 tons of uranium a year. [2010-06-09]